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Socialization mechanisms and goal congruence

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  • Kennedy, Frances A.
  • Widener, Sally K.

Abstract

Firms use performance measures linked to incentives and the evaluation process to motivate and direct employees' efforts towards goal congruence. In a research setting where the noise in the performance measures hinders such formal linkage, we examine how firms can achieve goal congruence. We first examine the direct relation between employees' perceptions of the extent to which socialization mechanisms (i.e., perceptions of the extent to which employees perceive that top management communicates core values, supervisors engage in career development mentoring, and employees themselves engage in peer mentoring) are related to goal congruence. Second, we examine the process by which the relationship works. We posit that the relationship works because socialization mechanisms communicate information, which reduces employees' uncertainty thus increasing their perceptions of career security, and in turn, employees become more attached to the firm and better impound its goals. Using survey data from 354 employees to estimate a structural equation model, our results fail to support a direct association between socialization mechanisms and goal congruence. However, we find an indirect association through employees' perceptions of career security. We further find that the indirect effect only holds for non-union employees. Interestingly, for union employees, goal congruence is directly facilitated by employees’ perceptions of the extent to which top managers communicate core values.

Suggested Citation

  • Kennedy, Frances A. & Widener, Sally K., 2019. "Socialization mechanisms and goal congruence," Accounting, Organizations and Society, Elsevier, vol. 76(C), pages 32-49.
    • Handle: RePEc:eee:aosoci:v:76:y:2019:i:c:p:32-49
    DOI: 10.1016/j.aos.2019.01.004
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    Cited by:

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    3. Maurizio Massaro & Carlo Bagnoli & Francesca Dal Mas, 2020. "The role of human sustainability in professional service firms. Evidence from Italy," Business Strategy and the Environment, Wiley Blackwell, vol. 29(6), pages 2668-2678, September.
    4. Grabner, Isabella & Klein, Aleksandra & Speckbacher, Gerhard, 2022. "Managing the trade-off between autonomy and task interdependence in creative teams: The role of organizational-level cultural control," Accounting, Organizations and Society, Elsevier, vol. 101(C).
    5. Konstantin Flassak & Julia Haag & Christian Hofmann & Christopher Lechner & Nina Schwaiger & Rafael Zacherl, 2023. "Working from home and management controls," Journal of Business Economics, Springer, vol. 93(1), pages 193-228, January.
    6. Jacobo Gomez‐Conde & Ernesto Lopez‐Valeiras & Ricardo Malagueño & José Carlos Tiomatsu Oyadomari, 2022. "Quality of performance metrics, informal peer monitoring and goal commitment," Accounting and Finance, Accounting and Finance Association of Australia and New Zealand, vol. 62(3), pages 4041-4077, September.

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